In box 5 of 1099-c, reads "Was Borrower Personally Liable for Repayment of the Debt".
Does a "yes", or "no" answer, respectively, imply recourse debt, or non-recourse debt?
neither the instruction for form 1099c (or 1099a) or pub 4681 are clear on this.
Any insight would be appreciated.
NonRecourse means the creditor is limitd to repossessing the secured property, and cannot otherwise seek other assets of yours.
So a Yes to Borrower was Personally Liable provides the creditor with Recourse to try to get other of your assets.
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